Description of the wave count potential of Bitcoin (BTC)

Bitcoin (BTC) has just broken out of the $ 51,200 resistance area, reaching its highest price since May. You are potentially trading bullish momentum.

re are still two possible long-term wave counts in play. However, both short-term counts predict that BTC will continue to rise towards the $ 57,000 resistance area.

BTC bullish count

Currently, there are two primary potential wave counts for BTC. first indicates that a new upward momentum began on June 22.

If correct, BTC is currently in wave five (orange) of that pulse. sub-wave count for extended wave three is shown in black in the graph below.

most likely target for the top of the bullish move is between $ 57,500 and $ 59,500. This target range is found by a confluence of Fib targets. se include:

  • 4.21 extension of wave one (orange).
  • 1.61 wave one projection (black).
  • 0.618 projection of waves 1-3 (orange).

In addition to this, it is also a horizontal resistance area.

In the long term, the count suggests that the fourth wave of the cycle (red) has ended. In this case, BTC has already started the fifth and final wave of the cycle.

only problem with this count is the extremely shallow wave four, which could not even reach the 0.382 Fibonacci retracement support level or complete a fourth wave retracement.

Corrective BTC count

corrective count suggests that BTC is still in a corrective B (white) wave. subwave count is displayed in orange.

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Due to the extreme extension, it is only possible for the corrective wave to turn into a triangle formation.

However, the short-term move would be the same as the bullish count, where BTC peaks close to $ 57,000.

However, the future move would be different as the corrective count suggests a consolidation for a period of time before another decline.

On the long-term count, the proposed move would complete part of cycle four wave (orange), eventually leading to another dip.

While short-term counting is somewhat unusual due to the extreme extension, long-term counting better fits the EW rules.

For the latest Bitcoin (BTC) analysis from BeInCrypto, click here.

Disclaimer

All information on our website is published in good faith and for general information purposes only. Any action taken by the reader on the information found on our website is strictly at your own risk.

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